The group of senior Goldshield Group plc (LSE: GSD) managers have raised their counter-bid for the company, after AIT Investments Ltd., owned by the Fuhrer family last week raised their bid to ₤4.50 per share in cash. The Goldshield managers, through Midas Bidco Ltd., and backed by HGCapital Ltd., offered ₤4.60 per share.
The Fuhrer family owns pharmaceutical marketing firm NeoPharm Ltd., Israel's 51st largest service and trade company. NeoPharm markets Advil, Similac infant formula, Durex condoms, Listerine, Centrum nutritional supplements, and other brand products. The bid for Goldshield is the Fuhrer family's first foreign venture.
The counter-offer by Goldshield's management reflects a company value of $275 million. The share rose another 0.2% today to ₤4.70, giving a market cap of ₤172 million, as investors clearly believe that the bidding war for control of the company will continue.
Both AIT and the Goldshield managers say that they have full financing for their offers.
The Fuhrer family said that it was considering its next move.
The Goldshield managers behind the counter-offer jointly own 40.5% of the company. Former Goldshield CEO Ajit Patel plans to sell his 4.8% stake in the company to AIT.
Published by Globes [online], Israel business news - www.globes-online.com - on September 29, 2009
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